MasterCard today introduced MasterCard Installments, a unique and creative Buy Now, Pay Later (BNPL) service that gives customers more options at the checkout counter, both in-store and online, and allows them to pay over time.
MasterCard Installments makes BNPL available to millions of customers and businesses across the world by using the company’s trusted network. Customers can choose from a variety of flexible installment options – including a zero percent interest, pay-in-four model – without having to undergo time-consuming integration into the merchant infrastructure. This allows banks, lenders, fintechs, and wallets to quickly offer secure and competitive BNPL experiences at scale.
BNPL offerings are made available through Mastercard Installments, which allows consumers to digitally access them, either by pre-approval using their lender’s mobile banking app or by fast acceptance upon checkout. In addition to being able to use pre-approved instalments directly on a merchant’s website, they can also be saved in digital wallets like as Click-to-Pay, which can subsequently be used online or in-store everywhere Mastercard is accepted.
The ability to receive instant approvals throughout the checkout process will be available through Click-to-Pay immediately after the service is launched.
Consumers will have complete transparency into lender practises up-front during the approval process, and, unlike most current BNPL offerings, consumers will continue to benefit from zero liability fraud protection, the ability to challenge unrecognised charges, and the peace of mind that comes with Mastercard’s acceptance footprint, as well as other advantages.
MasterCard Buy now, Pay later service for Customers
Mastercard Installments builds on Mastercard’s efforts in open banking, which have enabled the company to provide a straightforward and easy experience for customers, merchants, and financial institutions. Account-level transaction histories can be examined as part of the underwriting process by lenders as an optional alternative, with consumer agreement, allowing credit to be provided to a wider number of consumers while maintaining the safety of the process.
It also makes it easier for consumers to use their preferred form of repayment, which might be their checking or savings account, a Mastercard debit card, or another payment product, thanks to open banking technology.
Other big corporations, including as Apple Inc. and Goldman Sachs, are allegedly working on a BNPL product as well, according to reports.
MasterCard Installments will be introduced to the market in the United States, Australia, and the United Kingdom in the first quarter of 2019. (UK). In the United States, Mastercard is collaborating with Barclays US, Fifth Third, FIS, Galileo, Huntington, Marqeta, SoFi, and Synchrony, while in Australia, it is collaborating with Qantas Loyalty and Latitude. MasterCard is dedicated to assisting its clients across the world in offering the Mastercard Installments programme, with plans to expand the product to more regions in the near future.